Share Block Scheme vs Sectional Title

In a share block scheme an individual owns a block of shares in the company. This block of shares is allocated to a specific part or parts of the building, the apartment, parking bay, garden etc. Owning the block of shares entitles the individual to the permanent and exclusive use of those parts of the building, but it is the company, not the individual, that owns the immovable property, the land, buildings and improvements.

In a sectional title scheme, the individual owns a unit, which is deemed immovable property. That unit consists of the section, usually an apartment or townhouse but which could also include a garage or parking facility in the building, and an undivided share in the common property.

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